Almost every business that is started copies the businesses it competes with. Everyone copies each other. It’s how it goes. They compete on business models and best practices. But, it doesn’t have to be this way.
More of the same is the norm. Different is rare. So I get ticked off when I hear someone say that you should obsess about competitors just as much as customers.
Customers are the North Star. Understand competitors but don’t obsess about them. Study them to learn what not to do. Avoid their “best practices “ and develop next practices.
— Jorge Barba (@jorgebarba) July 10, 2024
Customers are the North Star; not competitors
It’s rare to see a business that competes differently. For me customers, their wants, needs, desires, and problems are the North Star. You don’t start a business to copy other businesses, you start a business because you want to solve a deep pain for a large group of people.
Should you obsess over competitors? No. Observe competitors, and obsess over customers. Obsess about their pains, needs, and desires. The closer you are to the customer the better your business will be.
— Vala Afshar (@ValaAfshar) July 14, 2024
If you want to obsess over competitors go ahead. Just remember that most businesses are ok with being average. But, if you want to lead: Obsess about being uncommon. You do this by being different and better, by doing what others won’t, by obsessing over things that make a difference.
I encourage you to expand your perspective about competition and consider the following: you compete with anyone who can raise standards and expectations.
That includes businesses and organizations outside of your industry.
Businesses that obsess about their direct competitors have no unique point of view, no vision. Businesses that obsess about their customers have a unique point of view, a vision of what they want their customers to become. With that said, I’ll leave you with this:
If you’re setting out to do more of the same, then by all means obsess over competitors; that’s what most everyone does.
If you’re setting out to do things better and differently, then you should examine competitors to understand their CRAP (competitor rules and practices) and avoid doing what they suck at.
If you have a unique point of view, and a vision, then competitors should be the ones focusing on you. But, you’ll be the one following others if you don’t.
Bottom line: Observe competitors, and obsess over customers. You should always look forward, never backward. And, if you’re worried about the competition behind you, you’re doing it wrong.
